Dcc Plc · LSE:DCC
Dcc — Investor Presentation (May 2025)
60 slides from Dcc's investor presentation, May 2025
Slide 1: Invested in Energy
INVESTOR PRESENTATION INVESTED IN ENERGY MAY 2025
Slide 2: Disclaimer
INVESTOR PRESENTATION MAY 2025 2 DISCLAIMER • This presentation does not constitute an invitation to underwrite, subscribe for or otherwise acquire or dispose of any shares or other securities of DCC plc (“DCC”). • This presentation contains some forward-looking statements that represent DCC’s expec
Slide 3: Index
INVESTOR PRESENTATION MAY 2025 3 INDEX 1 Strategic Progress 2 Our business 3 How we operate 4 Our strategy in action 5 Growth 6 Financials 7 DCC Technology 8 Sustainability progress 9 Appendix
Slide 4: Who We Are
INVESTOR PRESENTATION MAY 2025 4 WHO WE ARE For almost 50 years DCC has built OUR GROUP TODAY SIMPLIFYING TO ENERGY ONLY leading businesses in the Energy, EBITA, £’m EBITA, £’m Healthcare and Technology sectors. 13% Technology We are now simplifying DCC to focus on 23% Mobility our largest growth op
Slide 5: Why Invest in DCC?
INVESTOR PRESENTATION MAY 2025 5 WHY INVEST IN DCC? Growing demand: customers need secure, cleaner and Highly competitive energy experienced Scale compounder: opportunities in 400 acquisitions new and existing at high returns markets SUSTAINABLE RETURNS Strong balance sheet and cash COMPOUNDING gene
Slide 6: Strategic Progress
INVESTOR PRESENTATION MAY 2025 STRATEGIC PROGRESS
Slide 7: Sale of DCC Healthcare
STRATEGIC PROGRESS MAY 2025 7 SALE OF DCC HEALTHCARE Agreed sale of DCC Healthcare announced in April: definitive agreement with Investindustrial Total enterprise value (EV) of £1,050 million on a cash-free, debt-free basis EV/EBITA of c.12.2x FY25 EBITA Total expected net cash consideration of c.£9
Slide 8: Value Maximisation Plan for DCC Technology over the Next 18 Months
STRATEGIC PROGRESS MAY 2025 8 VALUE MAXIMISATION PLAN FOR DCC TECHNOLOGY OVER THE NEXT 18 MONTHS DCC Technology progress and strategic review • New North American leadership established • Our operational efficiency programme in North America is in place and tracking as expected • Info Tech streamlin
Slide 9: Capital Return: 16% of Market Capitalisation as a Result of Healthcare Sale
STRATEGIC PROGRESS MAY 2025 9 CAPITAL RETURN: 16%* OF MARKET CAPITALISATION AS A RESULT OF HEALTHCARE SALE Sale of DCC Healthcare enables total capital return of £800 million: • £100 million in on-market buyback commencing shortly • Intend to return £600 million in single event post completion of He
Slide 10: Our Business
INVESTOR PRESENTATION MAY 2025 OUR BUSINESS
Slide 11: What We Do
OUR BUSINESS MAY 2025 11 WHAT WE DO DCC is a customer-focused business in energy sales, marketing and distribution. We have leading market positions in 12 countries. We operate two businesses: Solutions and Mobility. SOLUTIONS: 77% EBITA MOBILITY: 23% EBITA ENERGY PRODUCTS: 68% EBITA ENERGY SERVICES
Slide 12: Our Strategy
OUR BUSINESS MAY 2025 12 OUR STRATEGY Provide energy that is secure, cleaner and competitive to drive growth and returns 01 GROW CUSTOMERS Being the provider of choice for SELL MORE SERVICES To our energy customers How we do it essential energy products 02 No.1 or No.2 in most 10 year + customer Str
Slide 13: Five Decades of Growth
OUR BUSINESS MAY 2025 13 FIVE DECADES OF GROWTH Reaching 10 million energy customers, delivering high returns and turning profits into cash 1977 1984 2009 2018 2022 2025 2030 DCC’s first Energy Entry into the Expansion into Entry into the Launched new Strategic plan 2030 ambition acquisition: Flogas
Slide 14: How We Operate
INVESTOR PRESENTATION MAY 2025 HOW WE OPERATE
Slide 15: Our Business Structure
HOW WE OPERATE MAY 2025 15 OUR BUSINESS STRUCTURE SOLUTIONS MOBILITY 1.5m direct customers + 2m customers 6.6m cylinder customers We manage Solutions across four geographic regions, We manage our service stations and fleet services each with its own Managing Director. This facilitates business acros
Slide 16: We Leverage Our Strength in Energy Across Solutions and Mobility
HOW WE OPERATE§ MAY 2025 16 WE LEVERAGE OUR STRENGTH IN ENERGY ACROSS SOLUTIONS AND MOBILITY CUSTOMER-CENTRIC SHARED VISION Our two businesses provide secure, cleaner and essential energy solutions. CUSTOMER-CENTRIC Our Solutions business brings energy to SHARED VISION customer sites, while our Mobi
Slide 17: Our Value Chain
HOW WE OPERATE MAY 2025 17 OUR VALUE CHAIN
Slide 18: Solutions
INVESTOR PRESENTATION MAY 2025 SOLUTIONS
Slide 19: Cleaner Energy in Your Power Strategy for Solutions
SOLUTIONS MAY 2025 19 HOW WE DRIVE OUR CLEANER ENERGY IN YOUR POWER STRATEGY FOR SOLUTIONS 77% Become the provider of choice for secure, cleaner and competitive energy solutions SOLUTIONS SHARE OF DCC EBITA Energy Products (68% share of EBITA) Energy Services (9% share of EBITA) Grow customer number
Slide 20: Solutions: Where We Operate
SOLUTIONS MAY 2025 20 WHERE WE OPERATE In the US we operate across 21 states with double digit market share in Kentucky, Kansas and Tennessee. SOLUTIONS We operate across 11 countries, with US leading market shares. EUROPE UK FRANCE IRELAND GERMAN NORDICS USA 1 2 1 3 1 7 Y NO. NO. NO. NO. NO. NO. in
Slide 21: Solutions: Key Metrics
SOLUTIONS MAY 2025 21 SOLUTIONS: KEY METRICS 77% GROSS PROFIT SPLIT: GROSS PROFIT SPLIT: SOLUTIONS SHARE OF DCC EBITA ENERGY ENERGY PRODUCTS 58% 31% 11% SERVICES 100% 68% EBITA 9% EBITA Liquid Liquid On-grid gas Energy Services gas fuel & power 1.5M DIRECT CUSTOMERS BIOGENIC 10K CUSTOMERS MWp c. 8.1
Slide 22: Energy Products: How We Serve Our Customers
SOLUTIONS MAY 2025 22 ENERGY PRODUCTS: HOW WE SERVE OUR CUSTOMERS 68% Most of DCC’s liquid gas and fuel customers are in rural areas, not connected to the gas grid. ENERGY PRODUCTS SHARE OF DCC EBITA SOLUTIONS
Slide 23: Energy Products: Our Customers and Right to Win
SOLUTIONS MAY 2025 23 ENERGY PRODUCTS: OUR CUSTOMERS AND RIGHT TO WIN 68% ENERGY PRODUCTS SHARE OF DCC EBITA OUR CUSTOMERS OUR PROGRESS OUR RIGHT TO WIN We sell and distribute liquid gas and other fuel EBITA ORGANIC GROWTH We maximise margin per litre in a market that has seen products to commercial
Slide 24: Energy Services: How We Serve Our Customers
SOLUTIONS MAY 2025 24 ENERGY SERVICES: HOW WE SERVE OUR CUSTOMERS 9% ENERGY SERVICES SHARE OF DCC EBITA SOLUTIONS
Slide 25: Energy Services: Our Customers and Right to Win
SOLUTIONS MAY 2025 25 ENERGY SERVICES: OUR CUSTOMERS AND RIGHT TO WIN 9% ENERGY SERVICES SHARE OF DCC EBITA OUR CUSTOMERS OUR PROGRESS OUR RIGHT TO WIN Our energy services cater to less intense EBITA ORGANIC GROWTH We drive revenue growth and maximise % margin: energy needs. They complement our prod
Slide 26: Mobility
INVESTOR PRESENTATION MAY 2025 MOBILITY
Slide 27: Cleaner Energy in Your Power Strategy for Mobility
MOBILITY MAY 2025 27 HOW WE DRIVE OUR CLEANER ENERGY IN YOUR POWER STRATEGY FOR MOBILITY 23% To grow our secure, cleaner and competitive energy for service station, fleet payment, digital parking and telematic customers MOBILITY SHARE OF DCC EBITA Mobility (23% share of EBITA) Service stations Fleet
Slide 28: Mobility: Where We Operate
MOBILITY MAY 2025 28 WHERE WE OPERATE MOBILITY 172 of our 1,173 sites are We operate across eight countries in Europe EV enabled OUR SERVICE STATION FOOTPRINT SWEDEN FRANCE NORWAY DENMARK UK EUROPE 350 350 200 100 100 FLEET SERVICES Our fleet services business is based out of the UK and Ireland; our
Slide 29: Mobility: How We Serve Our Customers
MOBILITY MAY 2025 29 MOBILITY: HOW WE SERVE OUR CUSTOMERS 23% Service stations Fleet services MOBILITY SHARE OF DCC EBITA MOBILITY
Slide 30: Mobility: Key Metrics
MOBILITY MAY 2025 30 MOBILITY: KEY METRICS 23% Mobility EBITA £’m SERVICE STATIONS FLEET SERVICES MOBILITY FUEL AND NON-FUEL SERVICES NON-FUEL SERVICES SHARE OF DCC and annual organic EBITA % growth 75% 25% of mobility of mobility gross profit gross profit 5% 122 120 124 101 c.2M CUSTOMERS 67K CUSTO
Slide 31: Mobility: Our Customers and Right to Win
MOBILITY MAY 2025 31 MOBILITY: OUR CUSTOMERS AND RIGHT TO 23% WIN MOBILITY SHARE OF DCC EBITA OUR CUSTOMERS OUR PROGRESS OUR RIGHT TO WIN We sell fuel, EV charging and retail goods to EBITA ORGANIC FUEL GROSS We increase our competitive edge: customers at service stations. GROWTH MARGIN PER LITRE An
Slide 32: Our Strategy in Action
INVESTOR PRESENTATION MAY 2025 OUR STRATEGY IN ACTION
Slide 33: Energy Products: Consolidating Liquid Gas within the US to Drive Returns
OUR STRATEGY IN ACTION MAY 2025 33 ENERGY PRODUCTS: CONSOLIDATING LIQUID GAS WITHIN THE US TO DRIVE RETURNS In 2018 we entered the US propane market in Illinois by acquisition Our strategy is to create route density in a geographic area. That means consolidating depots and offices and reducing the n
Slide 34: Energy Products: We Aim to Be a Biofuel Leader in Europe by 2030
OUR STRATEGY IN ACTION MAY 2025 34 ENERGY PRODUCTS: WE AIM TO BE A BIOFUEL LEADER IN EUROPE BY 2030 WE ARE A LEADING BIOFUEL WORKING WITH TRANSITION AND A PARTNER FOR LEADING MARKETER TODAY LEADERS IN THEIR SECTORS PRODUCERS AND SUPPLIERS • Created biofuel market leadership • Important partnerships
Slide 35: Energy Services: France Is the Successful Test Case for Our Strategy
OUR STRATEGY IN ACTION MAY 2025 35 ENERGY SERVICES: FRANCE IS THE SUCCESSFUL TEST CASE FOR OUR STRATEGY Since 2021, we have built a nationwide energy services We have acquired seven businesses in France where business in France, and followed suit in the UK, Ireland, organic revenue growth was 22% in
Slide 36: Mobility: Our Partnership with McDonald's in Norway
OUR STRATEGY IN ACTION MAY 2025 36 MOBILITY: OUR PARTNERSHIP WITH MCDONALD’S IN NORWAY STATE-OF-THE-ART ROADSIDE SERVICES IN NORWAY • New McDonald’s restaurants will open across our Esso-branded network in 2025. • Customers will be able to enjoy a meal and charge their vehicle at the same site. Our
Slide 37: Growth
INVESTOR PRESENTATION MAY 2025 GROWTH
Slide 38: Our Ambition: Double Profits by 2030 at High Returns
GROWTH MAY 2025 38 OUR AMBITION: DOUBLE PROFITS BY 2030 AT HIGH RETURNS1 We have scale opportunities and strong operating platforms close to energy customers. We empower our management teams to deliver growth. 3% to 4% +6% to 8% = 10%+ ORGANIC GROWTH FROM M&A GROWTH @ MID-TEEN+ (SELF-FUNDED) ROCE •
Slide 39: Why Energy Is Attractive: Scale M&A Growth Opportunity in Energy Products
GROWTH MAY 2025 39 WHY ENERGY IS ATTRACTIVE: SCALE M&A GROWTH OPPORTUNITY IN ENERGY PRODUCTS Grow liquid gas share in selected European markets and in the US OUR SCALE OPPORTUNITY IN OTHER EUROPEAN AND US LIQUID GAS MARKETS Why we like liquid gas: 01. We drive value as we create leadership positions
Slide 40: Why Energy Is Attractive: Scale Organic and M&A Opportunity in Energy Services
GROWTH MAY 2025 40 WHY ENERGY IS ATTRACTIVE: SCALE ORGANIC AND M&A OPPORTUNITY IN ENERGY SERVICES Consolidate fast-growing commercial and industrial solar power self-generation in Europe OUR SCALE OPPORTUNITY Why we like solar electric power IN OTHER EUROPEAN ENERGY SERVICES self-generation: 01. Sol
Slide 41: Why Energy Is Attractive: Growth Potential from Strong Base
GROWTH MAY 2025 41 WHY ENERGY IS ATTRACTIVE: GROWTH POTENTIAL FROM STRONG BASE Growth opportunity Growth opportunity Growth opportunity Where we play Energy Products Energy Services Mobility: Fleet services France UK Ireland Germany Austria Nordics Benelux NOT A CURRENT FOCUS US NOT A CURRENT FOCUS
Slide 42: Financials
INVESTOR PRESENTATION MAY 2025 FINANCIALS
Slide 43: Our Energy Business Has Excellent Financial Characteristics
FINANCIALS MAY 2025 43 OUR ENERGY BUSINESS HAS EXCELLENT FINANCIAL CHARACTERISTICS GROWTH THROUGH-THE-CYCLE: Our products and services are essential ORGANIC GROWTH: Focus on market share, efficiency and growth in services or renewable/bio products EXCELLENT RETURNS ON CAPITAL: Loyal customers, scale
Slide 44: Our Strategy Delivers: We Have a Proven Record in Energy
FINANCIALS MAY 2025 44 AND OUR STRATEGY DELIVERS: WE HAVE A PROVEN RECORD IN ENERGY Sustainable profit growth at attractive returns 19.0% 10YR AVERAGE FY25 ROCE: DCC Energy 18.5%40.0% ROCE 19.8% 21.0% 21.6% 17.9% 18.4% 18.6% 19.0% 18.7% 18.5% 30.0% 5.8% 18.1% 10YR AVERAGE 17.7% 20.0% 19.8% ORGANIC G
Slide 45: DCC: Key Financial Metrics
FINANCIALS MAY 2025 45 DCC: KEY FINANCIAL METRICS Focus throughout DCC on organic profit growth, cash flow conversion and ROCE Value drivers for energy include customer metrics, gross margin conversion and carbon intensity SOLUTIONS: 77% EBITA MOBILITY: 23% EBITA ENERGY PRODUCTS: 68% EBITA ENERGY SE
Slide 46: Performance by Business Area
FINANCIALS MAY 2025 46 PERFORMANCE BY BUSINESS AREA Total EBITA of £535.5m in FY25 SOLUTIONS MOBILITY Operating Operating £411.8m: 77% profit £123.7m: 23% profit SERVICE STATIONS ENERGY PRODUCTS ENERGY SERVICES AND FLEET SERVICES 2025 2024 % change 2025 2024 % change 2025 2024 % change Volume (bn li
Slide 47: Solutions: Organic Growth and Margin History
FINANCIALS MAY 2025 47 SOLUTIONS: Organic growth and margin history SOLUTIONS: 77% EBITA ENERGY PRODUCTS: 68% EBITA ENERGY SERVICES: 9% EBITA PRODUCTS EBITA £’M AND ANNUAL ORGANIC GROWTH % SERVICES EBITA £’M AND ANNUAL ORGANIC GROWTH % 358 364 48 5% 328 301 279 280 255 220 25 196 155 100% 137% 33% 4
Slide 48: Mobility: Organic Growth and Margin History
FINANCIALS MAY 2025 48 MOBILITY: Organic growth and margin history MOBILITY: 23% EBITA MOBILITY EBITA £’M AND ANNUAL ORGANIC GROWTH % 5% 122 124 120 96 101 90 81 59 61 50 16% 3% 4% 5% 4% -6% 4% 18% -1% 5% FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 25 Absolute EBITA £’m % Organic annual
Slide 49: On Track to Deliver Our 2030 Ambition of c.£830m EBITA
FINANCIALS MAY 2025 49 ON TRACK TO DELIVER OUR 2030 AMBITION OF c.£830m EBITA – MORE THAN 2X FY22 EBITA BRIDGE (FY22A-FY30), £M(1) 10.3% ccy EBITA CAGR with 5.7% average organic growth Organic growth c.125 c.175 c.830 536 8-10% 2-4% 2-4% 129 40 7 FY22A FY23-25A Energy Products Energy Services Mobili
Slide 50: We Aim to Deliver 3% to 4% Organic EBITA Growth on Average in Energy
FINANCIALS MAY 2025 50 WE AIM TO DELIVER 3% TO 4% ORGANIC EBITA GROWTH ON AVERAGE IN ENERGY Drive organic growth through customer growth, efficiency and services Solutions: Energy Products VOLUMES: -1% to +2% + MARGIN PER LITRE: +1% to +3% = 2% to 4% EBITA organic growth Solutions: Energy Services R
Slide 51: We Aim to Deliver 6% to 8% M&A Growth
FINANCIALS MAY 2025 51 WE AIM TO DELIVER 6% TO 8% M&A GROWTH UTILISING OUR EXCELLENT M&A CAPABILITY c. 400 transactions since going public at high teen returns; Continue to build our pipeline • Development plan in line with energy strategy • Optionality across energy area depending on ROCE HOW WE AS
Slide 52: Our Capital Allocation Framework
FINANCIALS MAY 2025 52 OUR CAPITAL ALLOCATION FRAMEWORK Sharpening our focus on self-funded development and shareholder returns 1 2 INVEST IN BUSINESS ORDINARY DIVIDENDS Capex STRONG Progressive approach, 1.0x – 1.4x capex : depreciation p.a. payout c.40% of earnings BALANCE SHEET Investment-grade c
Slide 53: DCC Technology
INVESTOR PRESENTATION MAY 2025 DCC TECHNOLOGY
Slide 54: DCC Technology: What We Do
DCC TECHNOLOGY MAY 2025 54 DCC TECHNOLOGY: WHAT WE DO PRO TECH INFO TECH LIFE TECH (MAJORITY NORTH AMERICA) (UK AND EUROPE) (NORTH AMERICA) SPECIALIST DISTRIBUTOR OF DISTRIBUTOR OF CONSUMER DISTRIBUTOR OF LIFESTYLE PROFESSIONAL AV PRODUCTS TECHNOLOGY PRODUCTS INTO PRODUCTS INCLUDING APPLIANCES INTO
Slide 55: Sustainability Progress
INVESTOR PRESENTATION MAY 2025 SUSTAINABILITY PROGRESS
Slide 56: A Sustainable DCC
SUSTAINABILITY PROGRESS MAY 2025 56 A SUSTAINABLE DCC We’re clear about the material questions most relevant to the sustainability of our business and to our stakeholders THE FOUR PILLARS OF OUR SUSTAINABILITY RECENT HIGHLIGHTS – REPORTING FRAMEWORK MAKING MEANINGFUL CHANGE • Full Double Materiality
Slide 57: Sustainability Targets and Progress for the Year Ended 31 March 2025
SUSTAINABILITY PROGRESS MAY 2025 57 SUSTAINABILITY TARGETS AND PROGRESS FOR THE YEAR ENDED 31 MARCH 2025 STRATEGIC PRIORITIES 2030 TARGETS 2025 2024 % CHANGE VS BASELINE CLIMATE CHANGE 50% reduction 65 68 -4.4% -48% reduction since 2019 Scope 1 & 2 GHG emissions baseline (ktCO2e Group) 35% reduction
Slide 58: Appendix
INVESTOR PRESENTATION MAY 2025 APPENDIX
Slide 59: Energy Services to Services, Renewable and Other EBITA Bridge FY25
APPENDIX MAY 2025 59 ENERGY SERVICES TO SERVICES, RENEWABLE AND OTHER (SRO) EBITA BRIDGE FY25, £M Included within Mobility 12.9 197.8 60.7 Included within Energy Products 53.9 22.0 48.3 25.3 Energy Services Renewable power/PPA Lubricants, refrigerants, Fleet, card and forecourt Renewable and blended
Slide 60: New Leadership Team: Aligned with Single Sector Strategy
APPENDIX MAY 2025 60 NEW LEADERSHIP TEAM: ALIGNED WITH SINGLE SECTOR STRATEGY EXECUTIVE DIRECTORS Donal Murphy* Kevin Lucey* Conor Murphy* Chief Executive Chief Financial Officer, Chief Financial Officer Chief Operating Officer (DCC Energy), (incoming) Chief Financial Officer (incoming) BUSINESS LEA